Trump’s tax reform bill would provide a $1 trillion windfall to the wealthy, according to a new analysis.
The $1.6 trillion boost would come in the form of a tax cut for corporations and individuals that Trump said would be “the biggest tax giveaway of our lifetime.”
The Tax Policy Center found that the tax cuts would generate $2.1 trillion in new economic activity in 2027 and $1,200 per person, compared to current law.
“The Trump tax plan will deliver the biggest tax cut of our lifetimes,” Trump said in an interview on Fox Business Network.
“We’re going to have a huge tax cut.”
The analysis, which was released Monday, was the first to assess the impact of the tax reform plan.
The Joint Committee on Taxation, which provides nonpartisan analysis to Congress, estimates that the Republican tax bill will add $1-trillion to the national debt over the next decade, according the Center for Tax and Budget Accountability.
The White House, however, said the analysis was flawed.
“This analysis is based on a false premise that the House tax bill would create the largest tax cut in U.S. history,” White House press secretary Marc Short said in a statement.
“The House tax plan contains numerous tax cuts that will create jobs and grow the economy, including $1 Trillion in new tax revenues that will be available to businesses, families, and the middle class.
This analysis is flawed.”
The tax cuts Trump has promised to deliver to the middle and working class include:$400 billion in lower rates on businesses and individuals and $300 billion in tax relief for families.
“I’m not going to tell you that every single penny is going to go to corporations,” Trump told Fox News host Chris Wallace on “Fox and Friends.”
“But you know what?
I want them to be taxed like everybody else, and they’re going a lot more than they are.”
The Trump administration said in February that the GOP tax bill contained “the largest corporate tax cut since the Reagan tax cuts.”
That statement came amid concerns from business groups that it would lead to job losses, raise taxes on the middle-class and other groups and would add to the debt.